The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication.
Gold rallies towards top of range
Gold is seemingly trying to create a bottom over the past two months, with recent price action forming a new higher low and high. Certainly this is a bullish sign for the medium term but with recent experience showing significant volatility and choppiness, any gains are unlikely to last.
The key will be whether we can see a breakout above $1100, to escape from this pattern. However, for now a choppy grind higher seems likely, with $1081, $1089 and $1100 the key resistance levels.
To the downside, $1060 is the key, as a move below would mean the creation of a bearish view once more.